Perception is everything.
At least that's what the Treasury, the Fed, and Wall Street are banking on...
... Specifically, that you'll continue to dive head first into the growing pile of garbage they keep shoveling.
The reality, of course, is that nothing has changed. Housing and financial stocks are still in trouble. Soon we'll begin to hear that the "credit crisis is now behind us." And, just as they're hoping for, the naive individual investor will buy into a select few financial and housing stocks on the idea. Wall Street will try to convince retail buyers to do the same.
And just like every other "bailout," this crisis will get worse, investors will lose millions, and taxpayers will be on the hook, again.
Look, the current taxpayer cost for Fannie and Freddie now stands at a staggering $200 billion, as the number of foreclosures and delinquencies has surged to 4 million. Meantime, a big piece of that has yet to hit Fannie or Freddie's books. It'll be months on end before the U.S. Government makes any sense of Fannie and Freddie's accounting gymnastics. Moreover, delinquencies and foreclosures will jump even higher as unemployment rockets higher.
No way around it... 2008 is going to be a roller-coaster ride.
And yet, with the U.S. and global economies spiraling out of control, the opportunities to exploit these markets for profit will never be stronger than in the months ahead. Options Trading Pit subscribers will be there to reap the rewards.
In fact, so far this year, we're 12 for 13 on closed positions (Options Trading Pit and Options Pit Blog combined). And in 2007, I posted 4,500% cumulative gains from my options plays.
Have a look at a few recent gains cranked out for Options Trading Pit subscribers:
· 62% gains on Murphy Oil put options...
· 26% gains on CurrencyShares British Pound Sterling December 2008 put options, and...
· 95% and 49% lightning-fast gains on Lehman Bros. after it broke under its technical descending triangle.
Keep in mind—these gains were taken during some of the worst market conditions in recent history.
And these aren't isolated wins, either. Plenty more winning recommendations are to come.
But don't take my word for it. Have a look at what my subscribers are saying, straight from my email inbox:
"I started with $14,200. I paid for the service and 13 days later I earned the subscription fee back... and using your strategies I'm at $19,200..." - B.H.
"I kept my stops in place and was closed out at 4.90. I had bought them for 1.75. 100 contracts... a respectable 30 plus thousand gain." - DF
"I held on to your SPF trade for a 500%+ gain. Nice!" - EO
And then there's this email, which I received at 11:14 pm last night...
Ian, great work on both. Exited today for a 44% gain, thanks! Your heads up yesterday on your email was greatly appreciated. I watched it at opening and heeded your advice once it broke $13 I looked for the option play under $4 and before your email arrived today, I had just put in a buy on Jan 10 PUTS. I sold at the end of today not wanting to risk overnight hold as these guys usually make up some story next day to push stock back up. I exited with 45% gain. But wait...there is more, as I continued to watch the spirl I thought, I have to buy more, so I purchased Oct 10 PUTS and sold them for 30% return in 30 minutes...it was a very good day and thanks. Keep doing the great work!!! - DF
Look, I don't like to toot my own horn. But I do insist on sharing with my subscribers the realities of the markets as I see them unfolding. I called, for example, the top of subprime in 2007, the fall of the UK economy and banking institutions, and the major breakdown of the Dow.
But my latest prediction is worse than all combined.
I'm calling it the "Option ARM Fiasco of 2009," and it'll absolutely wreak havoc on the US and global economy for years to come... crushing retailers, banks, and many unwitting consumers.
But take heed. You can profit from the coming melee, starting right now.
Here's what I mean... My next trade is coming soon, and quite honestly I'm not sure how this company is maintaining its stock price. But rest assured, it won't. Currently treading water at $35 a share, we expect to see $20 in short order.
And I can't stress this urgently enough. To get in on this major profit play, you must act now... before it passes you by.
Subscribe now to my Options Trading Pit, and begin cashing in alongside a growing legion of OTP members who understand where the money is right now.
Options Trading Pit is options made simple. I'll tell you exactly what to do, when to do it, and how to come out on top.
Take your risk-free trial of Options Trading Pit by clicking on the link below. You'll be glad you did.
Ian L. Cooper,
Investment Director and Managing Editor,
Options Trading Pit